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STOP PRESS! Martin Lewis gives 10-point summary as more info on Lifetime ISA replacement plans revealed

Row of terraced houses with blue sky above them.

News & Investigations Editor

Created 23 June 2026 | Edited 25 June 2026

Further details on plans to launch a First-Time Buyer ISA (FTB ISA) have been published by the Government on 23 June 2026. The key for existing Lifetime ISA (LISA) holders – the current savings vehicle for first-time buyers – is that your LISA will continue as is, even if, and when, its replacement starts. MoneySavingExpert (MSE) founder Martin Lewis posted this quick summary on his social media.

Martin Lewis

MSE founder & chair

The Government has just released its consultation on the new First Time Buyer (FTB) ISA to replace Lifetime ISAs (LISAs). Some key takeaways from the proposals, which of course can change:

It will only be for FTBs, not pensions.
LISAs still stay open until then, and will continue indefinitely if opened in time.
Property prices will be capped, but no idea at what level.
Contributions will get a bonus but, again, the levels aren't in the consultation.
There will be cash and stocks and shares versions.
Help to Buy (H2B) ISAs can be transferred into the new FTB ISA.
LISAs can't be transferred into it (as they already have the bonus).
The bonus will be paid at exchange, so withdrawal before then won't incur a penalty.
The Government will align the FTB ISA's property threshold with LISAs and H2B ISAs, but I suspect that will only happen if the new threshold is over £450,000.
We don't know if the property threshold will rise in line with inflation (as it should).

In essence, it looks far more like the H2B ISA used to be, except you can put in lump sums, and the bonus comes at exchange not completion. The consultation closes mid-August – my guess is this'd probably come in the next Budget for April 2027 (but who knows – it could be a different Chancellor before then).

Here at MSE, along with Martin, we will be analysing the consultation in detail and replying, and we will have further updates for you when we know more.

Listen: Martin explains the upcoming ISA changes

Image shows Martin Lewis and the 'BBC' and 'The Martin Lewis Podcast' logos

🔊 Listen to the full podcast: BBC Sounds | Spotify | Apple Podcasts.

In this episode (recorded on 25 June 2026), MoneySavingExpert.com founder Martin Lewis explains the HUGE new ISA and Lifetime ISA (LISA) changes.

This includes a deep dive into first-time buyer savings, with a special focus on LISAs and the now-closed but still widely held Help to Buy ISAs.

Martin also unpacks a major shake-up to shares ISA rules, with what it means for savers, investors, and anyone trying to grow their money tax-efficiently.